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Problem-Solving And Legal Support For Division Of Property In Orange County

Asset division is perhaps the most fundamental aspect of every divorce. Each spouse is entitled to an equal share but dividing the estate can be tricky and contentious.

Discuss your property division concerns with an experienced divorce lawyer at Maggio Law. We will explain your rights, help you establish priorities and advocate for you in negotiations, mediation or litigation of property division.

How Does California Divide Assets?

California is a community property state, which means that state courts split assets equally between a divorcing couple. This means that a court will split assets in a 50-50 manner. Assets that cannot be split down the middle, like a house or a car, there are other considerations to make in order to divide them equally.

Distribution Of The Marital Assets

When it comes to finally dividing the assets in a divorce, the divorce decree will need to address many complicated assets that a couple may have. The final decree must address:

  • Ownership of the house
  • Pensions and retirement funds
  • Stocks and investments
  • Bank accounts
  • Ownership stake in a business or professional practice
  • Responsibility for loans and debts
  • Alimony if applicable

We can help you ensure that you are getting the division you deserve from your divorce as we do everything in our ability to protect your best interests.

Understanding The Various Types Of Property Ownership

It’s important to have a basic understanding about the types of property when going into a divorce. There are several different definitions of property regarding your assets. The four main types are: community, quasi, separate and commingled property.

  • Community property is defined as all property obtained during the marriage. The most common example of this is the marital home.
  • Quasi-property is property acquired by spouses while they were not residing in a community property state. If you and your spouse bought property while residing in a noncommunity property state, but now reside in California, some of your property may be defined as this.
  • Separate property encompasses all property and assets obtained prior to the marriage. Common examples of separate property are cars and student loans.
  • Commingled property is assets that started as separated property but turned into marital property. This is less common but a few examples include inherited money deposited into a joint account or property purchased using combined resources during the marriage (i.e. a car, or television)

Understanding the differences between these types of property can help you recognize what you’re entitled to during the divorce process.

What Are Common Examples Of Community Property?

While the specifics of each divorce settlement vary based on the circumstances of the couple, there are a few common examples of community property that exist in most marriages, to give an idea of what types of assets are treated as such. A few typical community property examples are:

  • Real estate, including the marital home
  • Vehicles and home furnishings
  • Bank accounts and investment accounts
  • Some retirement plans

Debt is also included in community property. Debts like student loans, credit card debt and car payments may be included in community property, if applicable.

Who Takes The Debt In Property Division?

In California, any assets acquired during a marriage are community property and will typically be divided evenly during the asset division process. The same is true for a couple’s debt. Any debt a couple acquires as a couple is partially owned by each party in a 50/50 manner. This is also true for debt that only one spouse acquired during the marriage, even if they earned it on a credit card with only their name on it.

Full Financial Disclosure

Divorce requires full financial disclosure – under penalty of perjury – of the assets owned or possessed by each spouse. Property division may be more complex in some cases than others. When one spouse owns a business, for example, a formal business valuation is crucial to put a dollar figure on that asset. Maggio Law works with forensic accountants to obtain an accurate and complete financial picture, including tracing assets to determine if they are community property and locating hidden accounts or transferred assets.

What Are Signs Of Hidden Assets In A Divorce?

It’s not entirely unusual for a spouse to hide assets in an attempt to win a more favorable settlement. Determining if your spouse is doing this can be difficult, A few common signs of hidden assets include:

  • Sudden changes in financial behaviors (i.e. withdrawals to accounts)
  • Overly complex financial records
  • Offshore accounts
  • Unexplained decreases in income or property
  • Transferring assets to family or friends

Suspecting and proving hidden assets are very different things. An experienced attorney can help determine if this is the case or look into hiring an additional professional who can investigate.

Working Out The Math In Settlement Negotiations

Once a full financial accounting is completed, the parties may negotiate. The one thing that most divorcing couples must understand is that, aside from cash accounts, their marital property cannot be literally cut in half. For some types of assets, one person may take sole ownership of one piece of property in exchange for other assets of equal value – such as stocks, pensions or retirement accounts – in order to accomplish an equalization of assets and debts.

How Is Property Divided In A Legal Separation?

Even in a legal separation, property division is a complex matter. In these situations, property is still divided according to state and court guidelines. Since California is a community property state, assets obtained during the marriage are divided equally, 50/50, during a legal separation.

An attorney’s help is still crucial in these situations as the division of property still functions similarly to a divorce.

A Level-Headed Approach

Some clients are willing to relinquish everything to get a divorce quickly. Others stubbornly resist giving a spouse their fair share under California law. We are a valuable, level-headed ally and advocate who will advise you on ways to protect your rights while working out a fair and expeditious divorce settlement.

Solutions Customized To Your Family Dynamics

In property division matters, a customized solution accounts for the unique aspects of your particular marriage and divorce, including parenting arrangements and child support obligations. We can guide you through the process with professionalism and aggressive representation because we know that divorce is one of the most stressful and agonizing events in your life and you should always have competent legal representation during those times.

Contact Experienced Property Division Lawyers

Maggio Law is experienced in all aspects of divorce and family law matters, including complex property division. To schedule a consultation to discuss your marital estate and your California divorce, call our Irvine law office at 949-227-3001 or contact us online.